Prior to the New Year, a number of Americans will receive a stimulus check containing up to 1,400 dollars.
In order to receive the plus-up payment, however, you must register by December 31, 2021.
What is a Plus-up Payment?
When those who sent a stimulus check based on their (2019) tax returns and receive additional stimulus payments; these additional payments are what are known as plus-up payments.
Stimulus checks were distributed based on the most recent tax return that was on file when checks were handed out at the beginning of the COVID-19 pandemic.
In March 2021, the second round of stimulus checks was distributed when many people still hadn’t filed their taxes for 2020. This only means they got stimulus checks based on their 2019 tax returns.
The pandemic did, however, cause some Americans to see a reduction in income from 2019 to 2020.
Due to the fact that their tax returns were outdated, some people may have been given a lower payment than they were entitled to.
Am I Eligible for a Plus-up Payment?
Taxpayers in the USA are eligible for a plus-up payment if they have a lower income in 2020 than they had in 2019.
Additionally, this effect is directly applicable to anyone claiming to be an elderly or disabled dependent when they filed taxes for 2020. It also includes those under their care who are elderly, disabled, or in college.
It is better to file your 2020 tax return earlier rather than later, since the deadline to do so is December 31, 2021.
By comparing your income in 2019 with your income in 2020, the IRS will determine if you are entitled to receive the plus-up payments.
By using the IRS ‘Get My Payment’ tool, you can also keep track of your plus-up payment.
